Treasury Yields Rise for 3rd Session

2026-02-19 14:04 By Joana Taborda 1 min. read

The yield on the US 10-year Treasury note rose for a third consecutive session to above 4.1% on Thursday, reaching its highest level in a week, as solid US economic data and a hawkish tone from the Federal Reserve reduced expectations for multiple rate cuts this year.

At the same time, rising tensions between the US and Iran have pushed oil prices higher, fueling concerns about additional inflationary pressures.

Minutes from the latest FOMC meeting showed that Fed officials are divided over the next move on rates, with some raising the possibility of further hikes if inflation remains persistently high.

Meanwhile, initial jobless claims fell more than expected to 206K last week, while the US trade deficit for 2025 remained among the largest on record, with data going back to 1960.

Traders slightly trimmed expectations for Fed rate cuts this year but still see two 25 bps reductions before year-end.



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